Early estimates put the number of properties destroyed in the "hundreds", and two firefighters have been hospitalised for treatment of burns.

One man has died defending his house at Lake Munmorah on the central coast of NSW.

Prime Minister Tony Abbott has announced disaster recovery payments will be available to those affected by the fires in the Blue Mountains, Lithgow, Muswellbrook, Port Macquarie-Hastings, Port Stephens, Wyong and Wingecarribee.

Updated at 7.31am BST

6.59am BST

Two time-lapse videos of Thursday's bushfires have been uploaded to YouTube.

The Insurance Council of Australia (ICA) tonight formally declared a Catastrophe for bushfire-affected regions of NSW where properties have been severely damaged or destroyed.

ICA CEO Rob Whelan said insurers were still assessing the scope of the damage, but a taskforce had been established to escalate the industry’s response and the ICA had activated its disaster hotline - 1800 734 621.

“Insurers are standing by to handle inquiries and claims from policyholders,” Mr Whelan said. “I advise anyone affected by this disaster to follow the instructions of the emergency services and return to their properties only when it is safe to do so.

“At this stage the ICA is relying on information from the NSW Rural Fire Service and does not have firm damage estimates. Insurers will monitor the situation overnight and tomorrow, and I expect we will have a firmer grasp of the extent of the damage before the weekend.

“The ICA will be liaising with government agencies and emergency services, in particular the RFS, as well as local governments and state MPs, to assist with issues and inquiries.”

The ICA offers the following general advice to affected policyholders:

Contact your insurance company as soon as you can, and seek advice about the claim process under your policy, as well as what you’re covered for. Many insurers have 24-hour call centres

Don’t be concerned if insurance documents are not readily at hand. Insurance companies keep records electronically and require only the policyholders’ name and address to find a policy

Take pictures of damage to the property and possessions as evidence for your claim assessor

Speak to your insurer before authorising repairs. Emergency repairs should only be undertaken in the first instance to make the property safe

Remove and discard fire-damaged goods that pose a health risk

If possible, keep samples of materials and fabrics to show the assessor

Store damaged or destroyed items somewhere safe

Make an inventory of damaged possessions. This will help insurers process your claim

The ICA’s disaster hotline − 1800 734 621 − can help affected residents who are not sure which insurer they are with, or who have general inquiries about the claims process.

Here's the press release from the Prime Minister's office with the disaster recovery fund details:

FEDERAL GOVERNMENT TO PROVIDE RECOVERY ASSISTANCE TO VICTIMS OF NSW BUSHFIRES

The Federal Government will provide much needed assistance to those affected by the devastating bushfires still raging in New South Wales by making available the Australian Government Disaster Recovery Payment (AGDRP).

While the full extent of damage caused by the bushfires is still unfolding, the payment of $1,000 per eligible adult and $400 per eligible child will assist those already affected, particularly those who have lost their homes or suffered damage, are seriously injured or have lost an immediate family member.

The AGDRP will be made available in the following severely affected areas: Blue Mountains, Lithgow, Muswellbrook, Port Macquarie-Hastings, Port Stephens, Wyong and Wingecarribee.

The AGDRP payment is in addition to the joint funded Commonwealth-State Natural Disaster Relief and Recovery Arrangements, which provides assistance to individuals and families, including emergency food, clothing and accommodation.

As the situation is still unfolding, the Government will continue to assess whether broader relief and recovery assistance may be needed. We will work closely with the NSW Government to ensure the recovery needs of the affected communities are met.

The Government recognises the heroic efforts of the firefighters for their courage in battling the fires and protecting individuals and communities under threat.

Further information about assistance payments is available on the Australian Government’s Disaster Assist website at www.disasterassist.gov.au or on 180 2266.

6.30am BST

Multiple fires have had their status downgraded, including the fire at Camden Valley Way, Leppington which is now at the 'advice' level. The Ruttleys Road fire in Wyong Shire has been downgraded to 'watch and act'.

How serious are these fires compared to others you've experience before?

I'll leave the incident controllers and NSW Commissioner to comment on operational aspects of the fire, but plainly this was a very big fire, its quite a long time since we've had property losses in the order of hundreds here in NSW so this was a very, very big fire.

Question from Al Jazeera reporter - Australia seems to be able to cope with fires better than other countries, why is that?

Look we have had a long long experience with bushfire in this country. We've been dealing with bushfires in this country almost as long as we've had European settlement here. And for thousands of years before the Europeans arrived Aboriginal people were practicing a form of fire management which in some respects was more successful than that which has been practiced since.

We do have a very long experience with dealing with fires, we do have a very strong, full-time, paid and volunteer professional infrastructure to cope with fires. As you can see, here at this command post we've got rural fire brigade, we would no doubt have in the area NSW fire brigade, we've got police, we've got ambos, we've got a whole range of volunteer and community groups who come together to support the firefighting apparatus.

Look we've just got a very, very long experience and I guess it's ingrained in our culture, we're not called a land of droughts and flooding rains, a sunburned country for nothing.

The Premier has indicated you might be close to reaching a deal on disaster funding, any details?

The standard disaster relief arrangements are now in place. The NSW Government will be dispensing money under those arrangements and the Commonwealth under the standard apportioning arrangements will be picking up at least 50% of the tab.

Any figure on the cost of rebuilding?

Look, it is very very early days, we think that property losses are in the hundreds, but it is too early to say what the precise number of homes destroyed, buildings destroyed and damage is, and it's far too early to put a price on how much it would cost to restore the situation.

6.10am BST

Centrelink have announced support for people whose homes have been lost. The emergency response number for Centrelink support is: 180 2266

6.05am BST

Prime Minister Tony Abbott addressing the media in Winmalee:

Today is a much quieter day than yesterday but this is a fire emergency which could go on for quite some time.

There are hundreds of people who are grieving the loss of property, tragically there has been it seems one life lost further north, someone who was defending his house. We grieve for everyone impacted by these fires, and we thank and congratulate everyone who is working to keep the state of NSW safe right now.

We've had hundreds of police, we've had hundreds of NSW fire brigade workers, and we've had literally thousands of Rural Fire Brigade volunteers and state emergency services volunteers out over the last 24 hours.

These are ordinary people, who on extraordinary days come together to support their community and to protect their fellow australians. We are incredibly lucky to have them. We're also lucky to have supportive employers and supportive families who allow their loved ones to go out and do this kind of work when needed.

I want to say thank you to the employers of NSW for making so many of their staff available to serve in the emergency services, particularly in rural fire brigades at this time.

It could be a long, hot, dry summer, over the last three months most areas of NSW have had above average temperatures and below average rainfalls. It's projected that over the next three months most parts of NSW will similarly have above average temperatures and below average rainfalls.

I trust that the employers of NSW will be patient with those of their staff and workers who need to get out and serve with the emergency services, particularly with the rural fire brigades in coming months. This is an important way in which families and businesses can serve our community by supporting those of their members who are out with the rural fire brigades.

Again, I just want to say how sorry we are, on behalf of the people and parliament of Australia, for the heartache which so many hundreds of people in NSW are currently dealing with, but how proud we are of the thousands of volunteers and full time professionals who are out there keeping the community safe on a difficult day.

5.49am BST

Prime Minister Tony Abbott has addressed the media in Winmalee, saying "we feel for everyone who has suffered through these devastating fires".

"Today is a much quieter day than yesterday but this is a fire emergency which could go on for quite some time."

More to come...

5.22am BST

More from the press conference with Premier Barry O'Farrell and RFS Commissioner Shane Fitzsimmons earlier:

O'Farrell:

I simply want to pay tribute to all of those people who have been out fighting fires, but regrettably say they're going to be doing so for days, if not weeks into the future.

Fitzsimmons:

We still have 94 fires burning across NSW, 27 of them remain uncontained. We still have the two emergency warning alert fires, that is the fire up in the central coast, the Ruttleys Road fire thats burned right through to Catherine Hill Bay, we're now issuing a further alert to communities in the Chain Valley Bay area where the fire is now starting to impact on.

Of the seven large fires we've been focussing some attention on in the last 24 hours they consume around 50,000 hectares. And the fire we've just been getting a detailed briefing on out near Lithgow, its got a fire perimeter of more than a 180 kms now, and has consumed an area of something like 25,000 hectares

There's a lot of fire activity, a lot of challenging weather ahead, before we see a return to more difficult and challenging weather come Sunday and Monday in towards the end of the weekend and early next week.

5.02am BST

Emergency warning, Camden Valley Way fire

An emergency warning has been issued for a fire burning near Camden Valley Way and Cowpasture Road at Leppington.

4.40am BST

RFS Commissioner Shane Fitzsimmons, when asked about the number of homes lost:

"We do need to brace ourselves for home losses, and building losses in the hundreds."

4.30am BST

NSW Premier Barry O'Farrell has given an update to the media, after surveying the ongoing fires and damage:

"There are some pretty devastating sights from the air of houses being destroyed."

However, despite this O'Farrell says the picture from the air shows some positives:

"From the air it's very clear what an extraordinary job the firefighters have done protecting properties."

4.20am BST

NSW Premier Barry O'Farrell has tweeted a number of aerial photos of the bushfires:

Blue Mountains police have announced they are commencing investigations into the fires and subsequent property damage.

Blue Mountains residents who have lost properties are encouraged to contact police.

The statement on the Blue Mountains Local Area Command facebook page:

Blue Mountains LAC and other specialist Police Detectives including representatives from State Crime Command Strike Force Tronto, Detectives from NWMR and other specialists from both Police and other emergency service organisations have commenced investigations related to fires and property damage which occurred in the Blue Mountains area on 17/10/2013. There will be a significant numbers of police in these area over coming days. Strike Force Corkery - Springwood, Winmalee and Yellow Rock fires.Strike Force Murndal - Mt Victoria fires.Police would be requesting local residents who have sustained significant or total property damage to contact Police.Police would also request that local residents who potentially have a family member that may be missing or unaccounted for to also make contact with their local Police, or if persons may have been in fire affected areas undertaking some recreational activities.Springwood Police Station - 47 510 299Katoomba Police Station - 47 828 199

The Public Information and Inquiry Centre (PIIC), was activated in support of the Bush Fire Information Line.Members of the public are urged to call the Bush Fire Information Line on 1800 679 737 for all bush fire related information.

People can contact the Police Information Centre if they are concerned about the welfare of family and friends on 1800 227 228

Updated at 2.51am BST

2.39am BST

Prime minister Tony Abbott has said he wants to visit some fire-affected areas today. Speaking to reporters in Brisbane, Abbott said the sympathies of the nation are with those who have lost homes, or had property damaged by the bushfires.

"Australia is a country that is prone to natural disaster but every time it strikes it hurts, and we grieve for those who are now hurting because of what has happened in New South Wales," he said, also acknowledging that there has already been one loss of life "and we fear more".

2.32am BST

Central Coast: A number of homes in the Catherine Hill Bay area are believed to be destroyed. The Rutleys Rd fire is continuing to burn out of control in the area and is threatening properties in the area around Chain Valley Bay Road.

2.30am BST

Here's a timelapse of the smoke from yesterday's bushfires making it's way over the Sydney city skyline.

There are reports around that NSW police are investigating arson as a possible cause of the Blue Mountains fires, but a spokeswoman for NSW police has told us that there is no specific inquiry into the fire being deliberately lit at this stage.

She said that arson is part of all investigations into fires and they will "look at all avenues" as part of police protocol and routine investigating.

"There’s nothing to say that’s the cause of the fire at this stage," she said.

Investigators are not entering areas where bushfires are still burning, for obvious reasons. "Once places are deemed to be safe then we’ll start to go into those areas."

Updated at 2.28am BST

2.17am BST

Hugh Whitfeld (@hughwhitfeld)

Investigators focussing on this fallen power line as the ignition for Mt Vic fire that's destroyed at least 10 homes pic.twitter.com/OAD1B2VKKa

The Springwood fire has been upgraded to an emergency warning again. The fire is flaring up around Chapman Parade and an alert has been sent to residents to beware of ember attack, RFS deputy commissioner Rob Rogers has told ABC News.

“There’s too much active fire front,” for people to stop being on alert, he said.

The Lithgow fire is “a monster fire,” he said.

He said yesterday is a day that will "live for many years in the memories" of the people of NSW.

Worsening weather on Monday is a huge concern. Interstate resources are being coordinated to give some relief to firefighters who have been working for weeks with fierce Spring fires, said Rogers. "We've got a long time to go through Summer."

2.06am BST

Residents have begun returning to Winmalee.

Brett Thompson, who lost his house, has told ABC News he is “pretty shattered” but trying to focus on being pragmatic.

He said they moved to the Mountains four months ago with the knowledge that a fire might happen, but didn’t think it would be so soon.

He saw the smoke in the distance at Springwood but didn’t think too much of it. When he smelled smoke and the saw the Springwood fire was closer and larger, he got prepared.

“I had a knock on the door from a neighbour across the street saying ‘mate, the fire’s coming, the fire’s coming”. Another neighbour told them to evacuate.

A warning to asthma sufferers from Michele Goldman, CEO of Asthma Foundation NSW.

While fire can damage property and threaten life, it can also seriously affect the health of people with medical conditions, especially those who live with asthma. Wood smoke is a prime trigger for what could be a potentially fatal asthma attack.

We are asking that the responsible adults keep a close eye on all children during this period. Allowing them to stay indoors, keeping windows closed and air conditioners switched off are sensible measures. Consider suspending sporting activities and ensuring that children with asthma are carrying their reliever medication at all times is particularly important. If a child shows signs of respiratory distress and their medication is having no affect call Triple 000 immediately.

This is a mirror of the NSW Rural Fire Service Current Fires and Incidents map. It should be at most a few minutes behind.Disclaimer: This information is extracted from the NSW Rural Fire Service Incident Database. It is not 'real time' information, but is provided as a general indication of current activity.Please listen to your ABC Local Radio station if you are in a hazardous situation.

Press conference update from RFS and state premier

Premier Barry O'Farrell and RFS Commissioner Shane Fitzsimmons have just held a press conference on the current situation. Here are some key points.

One man has died and two firefighters injured while battling blazes. The two RFS volunteers are receiving medical attention - one is reportedly in surgery.

Residents have been urged to have patience as authorities inspect areas before allowing people to return to their homes.

“The RFS has to make sure that those structures are safe and they also have to do the necessary but gruesome task of checking that no one is inside,” said O'Farrell.

“Please give RFS and police a break today.”

There are no confirmed missing people from fire-ravaged areas.

"We had reports throughout the day of persons not being accounted for… it’s fair to say in the scramble of all that noise, anxiety and stress that messages do get crossed. At this stage we are not pursuing in any meaningful way of persons being unaccounted for still. but we are being realistic," said RFS Commissioner Fitzsimmons.

Fitzsimmons said they expect the number of dwellings, buildings and infrastructure lost to be "in the hundreds," and that they "cannot ignore the reality" that some people may not have escaped their homes when fires came through.

More difficult weather is on the way for Sunday and Monday. Fitzsimmons said it will be a matter of weeks to get some of the fires out. There is still a 400km perimeter of active fire reach.

12.45am BST

The fire perimeter is 400km and between 200 and 300 people are coming in from interstate to assist with the firefighting effort.

12.23am BST

Former ALP candidate Susan Templeman lost her home to a Blue Mountains bushfire yesterday while she and her husband were in Sydney. She’s told ABC News of speaking to her son on the phone while he was in the house as the fire approached.

“We told him to grab his cat, grab the laptops and get out… By the time we got back to the Mountains it was well and truly gone.”

12.12am BST

Premier Barry O’Farrell has told ABC the death of a Lake Munmorah man is “a regrettable death” and “If we can stay at one, then we are still very lucky.”

The premier said that the fire in the Lithgow area is likely to flare up again over coming days given the difficult region.

The RFS said it will be weeks not days to bring, said O’Farrell.

Updated at 12.56am BST

12.04am BST

An RFS spokesman has said that the 63-year-old man suffered a heart attack while he was fighting the fire at his home yesterday afternoon, AAP reports.

Attempts were made to resuscitate him but he later died at Wyong hospital.

Updated at 12.56am BST

11.54pm BST

Man dies while fighting fire at Central Coast home

The ABC is reporting that a 63-year-old man has died protecting his home at Lake Munmorah, which is near the out of control Wyong fire. It is the first reported death of this current bushfire emergency. I'll post more information when it comes to hand.

Updated at 12.56am BST

11.28pm BST

An update from AAP:

The mayor of the Blue Mountains has praised the resilience of residents who lost their homes in Thursday's bushfires.

Mark Greenhill says he and other local councillors spent the evening comforting residents affected by the "unprecedented" fires that tore through the area.

The current warnings in place are as follows. Most of these fires were at one state an emergency warning situation yesterday. If you are affected, please listen to ABC local radio and check in with rfs.nsw.gov.au for further details.

Emergency warning - WyongProperties are under threat in nearby suburbs. Firefighters are backburning where possible and the Pacific Highway is closed from Swansea to Lake Munmorah.

Watch and act - Southern HighlandsThe fire continues to burn near Balmoral, Yanderra and Bargo. People are able to return to their homes (via Tylers rd for Yanderra residents).

Watch and act - Mt VictoriaThe fire, which yesterday threatened homes, has decreased under milder conditions. There are unconfirmed reports of dozens of homes lost, according to Blue Mountains mayor Mark Greenhill.

Watch and act - HeatherbraeA fire is still uncontained in this area and has so far burned through around 3500 hectares of bushland. Firefighters are backburning where possible. Residents from Salt Ash, Fullerton Cove and Nelson Bay Rd can return to their homes.

Watch and act - SpringwoodThis devastating fire continues to burn in Springwood, Winmalee, Yellow Rock, Mt Riverview and Emu Heights. Properties are confirmed destroyed. The fire jumped the Nepean River late yesterday, burning through areas of Penrith Lakes but has since been contained. Non-essential travel should be postponed and many roads are closed.

Watch and act - LithgowA destructive fire has so far burned through 24,000 hectares of bushland near Lithgow and Bilpin and continues on both sides of Mount Irvine rd. A number of homes have been destroyed in the area. Non-essential travel should be postponed.

Other fires in Singleton, Muswellbrook and Shoalhaven have been revised to "advice," however Singleton residents of Cranky Corner Rd (south) and Glen Alistair rd, south of the Singleton fire, and residents of Bimbadeen rd to the north have been told that if they intend to leave or are not prepared then they should leave now.

Updated at 11.23pm BST

10.53pm BST

Another Guardian Witness contribution. If you have any photos or video of the bushfires that you would like to share, you can add them here. Please stay safe and don't take risks for the sake of a photograph.

It was about 12:30 am her time but I was worried... She says she's fine on her side of the town (South) but the other side (North) of the railway station has lost 30 houses. It's likely the local Labour MP, Susan Templeman, (Macquarie) has lost her home in Winmalee as there have been losses in that area according to my mother. - SheriffOfNothing

Updated at 10.50pm BST

10.48pm BST

Officers from the NSW Rural Fire Service, Fire and Rescue NSW and NSW Police Force will this morning conduct an impact assessment of the Blue Mountains, Lithgow, Lake Macquarie and Wingecarribee Shire areas.

“This is understandably a distressing time for people; however, it is really important for people to stay away until the area has been deemed safe.

“We will ensure that residents are kept up-to-date with what is occurring and as soon as it is deemed safe for them to return to their properties, they will be told,” said Assistant Commissioner Alan Clarke.

10.40pm BST

Firefighters from interstate are traveling to NSW to help battle their worst bushfires in more than a decade as more than 100 continue to burn across the state. At least one emergency warning is still in place for a fire that broke out on Thursday afternoon near Wyong on the Central Coast.

At least 40 homes are believed to have been destroyed by the Springwood fire in the Blue Mountains, but there are fears for hundreds more as images show entire streets razed to the ground.

Rural Fire Services (RFS) commissioner Shane FitzSimmons said that the seven biggest fires burned through 50,000 hectares of land with a 400km fire perimeter.